Successfully completed an upsized IPO, raising $125.5 million in net proceeds in Q2
Revenue increased nearly 21%, with over 250 basis points of gross profit margin expansion driving adjusted EBITDA increase of 106%
Backlog increased by nearly 52% to record level of $113 million
PORTLAND, Maine, May 29, 2026 (GLOBE NEWSWIRE) -- The Elmet Group Co. ("Elmet," the "Company," "we," or "our") (NASDAQ:ELMT), a U.S.-based provider of precision-engineered components and advanced high-power systems, today reported financial results for its fiscal first quarter ended April 3, 2026.
First Quarter Fiscal Year 2026 Highlights
Revenue increased 20.7% to approximately $56.0 million compared to approximately $46.4 million in Q1 2025.
Revenue from our Critical Materials & Components ("CMC") division increased approximately $9.1 million compared to Q1 2025 primarily from growth within the Aerospace, Defense & Government ("ADG") end market.
Gross profit margin improved 260 basis points to 21.2% of revenue compared to 18.6% of revenue Q1 2025.
Net income (loss) for Q1 2026 was $(0.3) million, or $(0.02) per share, compared to $1.2 million, or $0.06 per share, in Q1 2025. Adjusted net income (loss) for Q1 2026 was $4.7 million, or $0.24 per share, compared to $1.9 million, or $0.10 per share, in Q1 2025.
Adjusted EBITDA increased to approximately $9.2 million, or 16.4% of revenue, compared to approximately $4.5 million, or 9.6% of revenue, in Q1 2025.
Open order backlog increased to approximately $113.3 million, up from approximately $96.3 million at the end of Q4 2025 and approximately $74.7 million at the end of Q1 2025.
Recorded approximately $3.7 million in income related to a change in fair value and mark to market of the Company's strategic investment in tungsten mining company EQ Resources Limited.
Trailing Twelve Months Highlights
Revenue increased 4.8% to approximately $211.2 million compared to 2025 fiscal year results of approximately $201.6 million.
Gross profit margin improved 60 basis points to 20.9% of revenue compared to 20.3% for the 2025 fiscal year.
Net income (loss) decreased to approximately $4.0 million, or $0.20 per share, compared to $5.5 million, or $0.28 per share, for the 2025 fiscal year. Adjusted net income (loss) increased to approximately $16.2 million, or $0.81 per share, compared to $13.4 million, or $0.67 per share, for the 2025 fiscal year.
Adjusted EBITDA increased approximately $5.2 million to $28.6 million, or 13.5% of revenue, compared to approximately $23.4 million, or 11.6% of revenue, for the 2025 fiscal year.
Management Commentary"Today, we view the environment in which we operate as highly favorable and supported by strong demand for critical materials and engineered high-power systems, increasing defense spending, and ongoing supply chain realignment," said Company CEO Peter V. Anania. "Following our successful public listing in April, we believe we are well-positioned to effectively meet this demand and expand our role as a trusted supplier across mission-critical systems.
"Our recent performance demonstrates the resilience and diversification of our operating model and our competitive strategic positioning within key growth markets, most notably ADG. We have built significant momentum, supported by our record backlog and newly fortified balance sheet, which we believe will allow us to make opportunistic investments to further support our long-term competitive positioning."
Subsequent EventsSubsequent to the end of Q1 2026, we completed a successful upsized IPO of an aggregate of approximately 9.9 million shares of our common stock, including the full exercise by the underwriters of their overallotment option to purchase approximately 1.3 million additional shares, at a public offering price of $14.00 per share. The aggregate net proceeds from the offering were approximately $125.5 million after deducting underwriting discounts and commissions and other offering expenses payable by Elmet. We subsequently retired $17.8 million in term debt and paid $8.3 million transaction related stock appreciation rights costs, resulting in net $99.4 million cash on hand from the proceeds. We intend to use the net cash we received from this offering, as well as our pre-existing cash, for growth capital, working capital, and general corporate purposes.
Conference CallThe Elmet Group Co. management will host a conference call today, Friday, May 29, 2026, at 9:00 a.m. Eastern time (6:00 a.m. Pacific time) to discuss these results, followed by a question-and-answer period.
Toll-Free Number: 877-869-3847International Number: +1 201-689-8261Webcast: Register and Join
Please call the conference telephone number 5-10 minutes prior to the start time. An operator will register your name and organization. If you have any difficulty connecting with the conference call, please contact Gateway Group at 949-574-3860.
The conference call will be broadcast simultaneously and available for webcast replay here.
About The Elmet GroupThe Elmet Group is a U.S.-based provider of precision-engineered components and advanced high-energy systems for the Aerospace, Defense and Government, Industrial, Medical, Semiconductor and Electronics, and Energy industries. The Company operates through two divisions, Critical Materials Components (CMC) and Engineered Microwave Products (EMP), leveraging materials science and precision engineering expertise to deliver high-performance solutions. The Elmet Group is dedicated to strengthening domestic manufacturing capabilities to support the U.S. and its allies' needs in both critical materials and advanced high-power microwave systems.
Reorganization and Presentation of Financial Results
On January 2, 2026, the Company effected a reorganization (the "Reorganization") whereby Anania & Associates and its noncontrolling interest holders contributed their ownership interests in Anania & Associates and its consolidated subsidiaries in exchange for shares of common stock in the Company. The Reorganization was a reorganization of entities under common control as Anania & Associates and the Company were controlled by the Company's Chief Executive Officer ("CEO") before and after the Reorganization. As a result, the Reorganization was accounted for in a manner similar to a pooling of interests with the assets and liabilities of Anania & Associates and its consolidated subsidiaries being carried over at their historical amounts. The historical consolidated financial statements of Anania & Associates were retrospectively recast to reflect the results as if the Company owned Anania & Associates and its consolidated subsidiaries as of January 1, 2025. In connection with the Reorganization, Anania & Associates Investment Company LLC, an immaterial subsidiary of Anania & Associates, was no longer controlled by the Company and was deconsolidated on January 2, 2026. The deconsolidation was recognized as a spinoff and the impact of $0.5 million was recognized within equity. In connection with the Reorganization, the Company's tax status changed from an S-corporation to a C-corporation.
Non-GAAP Financial Measures
In evaluating its business, the Company uses or may use certain non-GAAP measures as supplemental measures to review and assess its operating and financial performance. These measures are commonly used in the manufacturing industry to provide stockholders and potential investors with additional information that excludes unusual or non-recurring items as well as non-cash items that are unrelated to or may not be indicative of the Company's ongoing operating results. These measures may not be comparable to similar measures presented by other companies and should not be viewed as a substitute for measures reported under U.S. GAAP. These non-GAAP financial measures have limitations as analytical tools when assessing the Company's operating and financial performances, and investors should not consider them in isolation, or as a substitute for any consolidated statement of operations data prepared in accordance with U.S. GAAP. The reconciliations to EBITDA, Adjusted EBITDA, Adjusted Net Income, and Adjusted Earnings Per Share from relevant GAAP metrics are included at the end of this press release. Backlog as reported is confirmed orders from customers for which revenue has not been recognized.
Forward Looking Statements
The information in this press release includes forward-looking statements within the meaning of the federal securities laws, including the Private Securities Litigation Reform Act of 1995. These statements generally relate to future events or our future financial or operating performance and include statements regarding Elmet's intended use of proceeds from the IPO, Elmet's ability to: (i) effectively meet demand for its products, (ii) benefit from defense spending levels in the United States and other countries in which it does business, (iii) successfully pursue its ongoing supply chain realignment, (iv) expand its role as a supplier across its end markets, (v) successfully make opportunistic investments, if any, that will support its competitive positioning, and (vi) effectively use the net proceeds received from its IPO to its benefit in the manner currently contemplated, in a different manner, or at all. When used in this press release, words such as "expect," "project," "estimate," "believe," "anticipate," "intend," "plan," "seek," "forecast," "target," "predict," "may," "should," "would," "could," and "will," the negative of these terms and similar expressions are intended to identify forward-looking statements, although not all forward-looking statements contain such identifying words. Forward-looking statements are based on management's current expectations and assumptions, and are subject to inherent uncertainties, risks and changes in circumstances that are difficult to predict. As a result, actual results could differ materially from those indicated in these forward-looking statements. When considering these forward-looking statements, you should keep in mind the risk factors and other cautionary statements in Elmet's Registration Statement on Form S-1, as amended (File No. 333-294725) and subsequent filings Elmet makes with the Securities and Exchange Commission. Elmet undertakes no obligation and does not intend to update these forward-looking statements to reflect events or circumstances occurring after this press release. You are cautioned not to place undue reliance on these forward-looking statements, which speak only as of the date of this press release.
Company ContactChris Chandler[email protected]
Investor ContactTom Colton and Greg BradburyGateway Group, Inc.[email protected]949-574-3860
-Financial tables to follow-
THE ELMET GROUP CO.CONSOLIDATED BALANCE SHEETS(UNAUDITED)(in thousands, except share data)
April 3,2026
December 31,2025
Assets
Current Assets:
Cash
$
1,825
$
1,759
Marketable securities
838
202
Accounts receivable, net
29,127
28,904
Government grant receivables
—
1,690
Related party receivables
178
426
Unbilled revenue
3,610
2,621
Inventories, net
75,032
69,697
Income tax receivable
74
—
Derivative asset
3,095
—
Prepaid expenses and other current assets
6,462
4,774
Total current assets
120,241
110,073
Property, plant and equipment, net
44,185
42,342
Operating lease right-of-use assets
10,448
10,586
Intangible assets, net
6,870
7,184
Goodwill
4,547
4,583
Deferred tax assets, net
84
—
Other assets
872
878
Total assets
$
187,247
$
175,646
Liabilities and Stockholders' Equity
Current Liabilities:
Accounts payable
$
17,679
$
16,165
Accrued expenses and other current liabilities
13,765
13,659
Operating lease liabilities, current portion
898
875
Current portion of long-term debt, related party
2,396
2,319
Current portion of long-term debt
6,229
7,755
Deferred government grants
4,166
4,672
Deferred revenue
23,494
14,853
Total current liabilities
68,627
60,298
Operating lease liabilities, net of current portion
10,022
10,247
Long-term debt, net of current portion
26,768
28,455
Long-term debt, net of current portion, related party
15,000
15,000
Deferred tax liabilities, net
4,820
—
Other liabilities
1,000
1,189
Total liabilities
126,237
115,189
Commitments and Contingencies (Note 18)
Stockholders' Equity:
Preferred Stock - $0.001 par value; 20,000,000 shares authorized, no shares issued and outstanding as of April 3, 2026 and December 31, 2025
—
—
Class A Common Stock, $0.001 par value; 500,000,000 shares authorized, 20,122,721 shares issued and outstanding as of April 3, 2026 and December 31, 2025
20
20
Class B Common Stock, $0.001 par value; 40,000,000 shares authorized, 466 shares issued and outstanding as of April 3, 2026 and December 31, 2025
—
—
Additional paid-in capital
16,011
15,366
Retained earnings
44,995
44,791
Accumulated other comprehensive (loss) income
(16
)
280
Total stockholders' equity
61,010
60,457
Total liabilities and stockholders' equity
$
187,247
$
175,646
The accompanying notes are integral to the unaudited consolidated financial statements.
THE ELMET GROUP CO.CONSOLIDATED STATEMENTS OF OPERATIONS(UNAUDITED)(in thousands, except share and per share data)
Three Months Ended
April 3,2026
March 31,2025
Revenue
$
56,007
$
46,387
Cost of goods sold
44,159
37,776
Gross profit
11,848
8,611
Operating expenses:
General and administrative
7,068
3,259
Research and development
850
811
Sales and marketing
2,067
1,683
Total operating expenses
9,985
